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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Xpiderman who wrote (110667)	9/21/2000 11:10:09 PM
From: FR1	Read Replies (1) \| Respond to of 186894

FWIW: I watched Niles. When asked if he blames management for the late warning (right after Niles recommended INTC), Niles said no and then explained. Niles felt that a lot of European vendors call in during the quarter and ask whether X number of chips would be available in September. This is sort of a soft order. It is this information that INTC uses in its forecast. This year the Europeans go on vacation in August, like they always do, and after coming back in September they see the Euro down to 85 and suddenly the numbers don't work because everything is based on US dollar. So they cancel (ie don't follow through) on very large soft orders leaving INTC holding the bag. Niles hopes this is a one quarter event and should provide some stability because now we have a stable base. ************************* Later another analyst came on and he was a little more brutal. He had been warning about Intel. He said that the rate of growth of PC sales has been slowing for some time and Intel should have diversified a lot more a long time ago. He feels that it will be a slow road back for Intel share value because of this. He also said that he just returned from a meeting with broadband & fiber optic semiconductor firms (BRCM, PMCS, etc) and things look great for them. ***************** The only other information in for the day was Mike Dell acting like the Larry Ellison of the box makers. Everything is rosy to him. ****************** I am disturbed by the late call but Niles statement kind of explains this. A late call means fund managers will put you in the dog house for 1 quarter. If you fail to warn at all (like LU) - they won't touch your stock for at least a year. Fund managers can't afford to be surprised. It is interesting to note that the other chip guys have not warned. Kind of makes it sound like Niles is closer to the target. Perhaps the talk of market share loss to other vendors may also be true. ******************* If you use QQQ as an after-hours gauge, according to CNBC, it means NADSAQ will open down 200. Most people I hear say it will be a golden opportunity to pick up shares of great stocks at low prices because there is no earth-shaking fundamental permanent change in the market. They did not stop building the Internet and this is one of those classic panic selling days that only come around once in a long time. Especially in the early part of trading.